Analysis: Crypto Market Sentiment Reverses, Investigation Surrounding Fed's Powell May Inject "Risk Premium" into Bitcoin

Odaily News The crypto market experienced its largest short squeeze since the "1011 crash" this week, with investor sentiment shifting from fear to greed. Nicolai Sondergaard, a research analyst at crypto data analytics platform Nansen, stated that rising uncertainty over the Federal Reserve's independence and geopolitical concerns are structural tailwinds for Bitcoin. While precious metals remain the primary beneficiaries in the current market environment, Bitcoin is increasingly becoming part of the discussion on alternative reserve assets. Furthermore, a potential criminal investigation into Fed Chair Jerome Powell could introduce a "risk premium" for BTC. Market data shows Bitcoin's price has risen 10.6% year-to-date, while the U.S. Dollar Index (DXY) has gained 0.75% over the same period. (Cointelegraph)